Koskisen (KOSKI) Q3 2024 earnings summary

Executive summary

• Revenue increased 22% year-over-year in Q3 2024 to €67.8M, driven by higher delivery volumes and improved prices in the Sawn Timber Industry segment.

• Adjusted EBITDA rose to €3.7M in Q3, with margin improving to 5.4–5.5% from 2.4–2.5% a year earlier.

• Profitability in the Sawn Timber Industry improved, while Panel Industry margins declined due to higher raw material costs.

• The new sawmill in Järvelä reached targeted production, boosting efficiency and is expected to add €8M to annual EBITDA at full capacity.

• Full-year 2024 guidance maintained: revenue expected to grow and adjusted EBITDA margin forecasted at 8–12%.

Financial highlights

• Q3 2024 revenue was €67.8M (Q3 2023: €55.5M); adjusted EBITDA rose to €3.7M (Q3 2023: €1.4M).

• January–September 2024 revenue was €209.3M, with adjusted EBITDA at €18.6M, down from €27.7M year-over-year.

• Q3 operating profit was €0.4M (Q3 2023: -€1.0M); profit for the period was -€0.4M.

• Basic EPS for Q3 2024 was -€0.02; equity per share at period end was €6.4.

• Gross investments for Q3 2024 totaled €7.3M; €17.2M for January–September 2024.

Outlook and guidance

• 2024 revenue is expected to grow from 2023 levels, with an adjusted EBITDA margin forecasted at 8–12%.

• Strategy targets €500M revenue and 15% adjusted EBITDA margin by 2027.